”Smart Contract” is a system that uses blockchain (*3) technology to
insert pre-determined agreement and contract terms into a software
program in a way that is difficult to falsely tamper or alter. When the
conditions are fulfilled, they will be executed automatically.

This proof of concept will extend beyond blockchains utilized by
existing business and will validate business and technical issues and
benefits for (a) Open services built on platforms such as the Ethereum
and includes non-financial interactions, and (b) Smart Contracts for
coordination with partner company services.

Specific first step will be to validate operational productivity
benefits by application of blockchain to share necessary information
securely and in real-time for the service flow from customer’s cellphone
repair request at AU shops to the completion of the repair process.

Smart Contract will also be validated for handset reuse services that
require versatile coordination between multiple business entities.
Specifically, we will validate that program can autonomously discern
data from different systems such as repair price, model exchange price,
used handset market price to make an optimum contract.

KDDI and Couger will further explore and validate ways to combine Smart
Contract with IoT and AI technologies in ways to achieve new levels of
closeness, value, and experiences for the customers.

In addition to working with Couger to develop ways to combine and apply
AI, robotics, and blockchain, KDDI will work with blockchain developer
Trident-Arts co., ltd., legal tech developer Kentauros Works Inc., and
in cooperation with other members of the EEA to create a robust next
generation service platform based on the combined "AI x IoT x
Blockchain” technology.

(*1) Enterprise Ethereum is a distributed application platform for the
enterprise.

(*2) Enterprise Ethereum Alliance (EEA) is an alliance formed to unify
Enterprise Ethereum use cases, decide upon standardization, and develop
open-source programs. There are more than 150 participating companies.

(*3) A blockchain is a continually operating system that makes
falsification of data very difficult through distributed computing and
verification. Because of this, users can expect to safely share data
even in the absence of a trustworthy central management figure.

Research, development, production, sale, and licensing of
technologies and systems for information and communications. Survey,
research, and consulting on policies, markets, and businesses mainly
in the information and communication fields.